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Since this is a CPM-based program, I'd guess that they will initially target large-scale publishers and be less interested in small ones (compared to the current contextual leader, Adsense).
Google surely saw this coming, as they have been running their own image-based CPM programs lately.
The question is how do they pay (average eCPM) when compared with Tribalfusion and Fastclick (fixed CPM)?
When they pay fixed CPM, the ads being relevant to the content is mainly important for advertisers.
IMHO, Publishers are not going to switch from Tribalfusion, Fastclick or even Google AdSense if they are not going to make more money with this new agency.
As you can imagine the money made with AdSense on a site about free software with so few visitors isn't all that much. I'm curious to see how ContextWeb does in this situation.
I can already tell that the relevancy is at least as good as it was with AdSense. The inventory is there, too; Using a 120*600 ad is full of relevant advertisers.
I checked CPC on FindWhat's site...
For example - advertiser paid 0.50$ ... And for that Ads ContextWeb gave me CPC of 0.80$... And they should around 0.20 ...
That was not normal. I supose they had some mistake in their software and that's why they dumped us!
As far as their contextual product, I've tried it on a handfull of sites for a week or so, and they have performed well. I talked with them at the NO conf, and phone and email since, and I feel confident they will pay.